You know that sinking feeling when you check your credit score and realize that you will probably not qualify for the loan you need? Worse yet, the experience when a lender runs your credit report only to find that you will need to find a way to boost your credit before getting approved for a loan.
How can you prepare for this situation ahead of time to avoid feeling disappointed? Is there anything you can do that will help improve your credit situation in advance?
Fortunately, there’s a solution to help you improve your credit. Authorized user trade lines are positive credit lines belonging to people who have held them for a long time. You can benefit from their reliable payment history, the age of the accounts, and the low utilization of their credit cards.
How does it work? You work with a third-party trade line company to connect with people who have lines of credit for rent. Then, once you choose the lines they can add you to for up to two months, you can pay for the authorized user slot rental.
Once you pay for the trade line (or multiple lines), you can expect a credit boost within two months. Usually, you will notice the impact sooner, though. But, of course, that depends on which accounts you choose to purchase (or rent).
In the rest of this article, we will discuss how many tradelines you should buy, how old the credit lines should be, and how high you need the limit. Then, we’ll explain where you can go to purchase these helpful credit-boosting trade lines.
How many trade lines do I need to buy for a better credit report?
When you want to improve your credit report, the steps you need to take depend on your current credit situation. Trade line companies sell individual authorized user slots and packages that include multiple lines of credit.
Tradeline Packages
Packages are most valuable when you need more accounts to improve your credit score or have multiple late/missed payments, collections, foreclosures, or derogatory marks.
If your profile is relatively strong, adding multiple accounts can also give you a better boost. Several extra lines of credit may also help ensure the new information will post to all three credit bureaus, and they can also be prudent when you need your report to be impacted by a specific date.
Single Tradelines
If you have a limited budget, choosing one line of credit with significant potential is your best bet; choose the most aged account possible because age is the most critical factor.
If you are in a situation where you primarily need to increase your credit limit, then a single account can be the solution to help improve your limit. Or, if you have no credit history, one seasoned AU tradeline can help a lot.
Buy “Seasoned” Tradelines
So, what does “seasoned” mean? Seasoned accounts are those that have extensive histories. Technically, a line that is two years old is considered seasoned, but in the tradeline world, the older, the better!
Regarding credit reporting, the age of accounts is the most impactful factor. The average age is especially significant. So, it’s essential to look for lines of credit that will increase your credit age substantially.
For example, your average credit age is approximately nine if you have six current credit accounts (ages 4, 5, 8, 9, 14, and 15). So, purchasing one 35 years old will increase your average age to 12.8 years.
On the other hand, if you currently have five accounts (ages 1, 1, 3, 4, and 5), your average credit age is 2.8 years. Those newer cards are bringing the average down. If you purchase a tradeline that is 30 years old, your average age will increase to 7.3.
Since average age is super important, you would likely see a boost in both situations because of investing in seasoned tradelines.
How long do authorized user tradelines take to post or report?
It can take up to two months for your AU trade line to post. This is because banks report to the credit bureaus on different dates; your purchase date, the cardholder’s statement date, and the bank’s posting date will all contribute to the length of time for reporting.
You can research ahead of time. For example, see if you can find out when the bank or credit company typically reports credit information, so you can make sure to purchase about a week before that.
One benefit of working with a credible company is that they usually offer a money-back guarantee if the trade line doesn’t post to your credit report within the lease period.
However, if you carefully follow the broker or company’s instructions, you will likely see your desired results. In addition, if you sync your personal information across all three credit bureaus, you will have a better chance of seeing results on all of them.
Also, certain banks are most likely to post across all three bureaus. They are Capital One, Bank of America, Discover, and Navy Federal. (These are also the only banks that will dependably post to a blank or brand new credit profile.)
Following instructions is essential for getting your AU tradelines to post within a reasonable time. And, of course, you don’t want to waste a minute improving your credit score!
Where to Buy Tradelines
There are a few different ways to make your purchase. Sometimes, mortgage brokers, loan officials, credit repair agencies, and other professionals will help their clients obtain loans by assisting them to gain access to other people’s impeccable credit.
They do this because they understand that becoming an authorized user on someone else’s accounts can help boost their clients’ credit.
As you are hunting for someone to help you with your purchase, you will most likely seek aid from a tradeline company. That’s because they offer expertise, support, and a wide selection of seasoned credit lines.
Buy Tradelines for a Credit Boost
The best companies offer a variety of accounts that you can choose to become an authorized user of. You can sort them by the lender, card limit, account age, price, and posting dates as you shop. So, whatever you need most, a credible company can help you find what you want.
A lender’s approval can stand between you and the home, vehicle, or business of your dreams. The boost that can come from tradelines is invaluable. You can make your dreams a reality when you qualify for a loan because of your good credit score.
By utilizing authorized user trade lines, you can confidently walk into a meeting with a lender. And, better yet, you can walk out with a loan!